Soft U.S. inflation data weakened the dollar and lifted risk sentiment. EUR/USD climbed toward 1.1200, supported by falling U.S. CPI, while USD/JPY slipped toward 147 as the yen rebounded.
Gold dipped below $3,230 despite Fed rate cut bets, and silver retreated to mid-$31s after briefly breaching $33. GBP/USD held firm near 1.3300, steadying after tariff relief and ahead of key UK growth data.
| Time | Cur. | Event | Forecast | Previous |
| 06:00 | EUR | German CPI (MoM) (Apr) | %0.4 (Act) | %0.3 |
| 11:00 | USD | OPEC Monthly Report |
EUR/USD climbed to around 1.1195 in Wednesday’s Asian session, recovering after a sharp 2.5% drop. The rebound followed underperforming U.S. CPI data for April, with annual inflation slowing to 2.3% from 2.4%, the lowest since February 2021.
Core CPI remained steady at 2.8%, in line with expectations. The softer data pressured the U.S. dollar and lifted the euro. Attention now shifts to Germany’s HICP release for fresh direction.
The pair faces resistance at 1.1260, with further upside at 1.1460 and 1.1580, while support sits at 1.1040, followed by 1.1000 and 1.0960.
| R1: 1.1260 | S1: 1.1040 |
| R2: 1.1460 | S2: 1.1000 |
| R3: 1.1580 | S3: 1.0960 |
The Japanese yen strengthened toward 147 per dollar on Wednesday, buoyed by softer U.S. CPI data that weighed on the dollar. Uncertainty over global trade persists following a temporary U.S.-China tariff truce. Japanese PM Ishiba opposed a U.S. trade deal excluding autos and urged for the removal of the 25% auto tariff. Meanwhile, Japan's PPI growth eased to 4% in April, and the BoJ maintained its cautious stance.
Resistance for USD/JPY stands at 148.60, then 149.80 and 151.20. Support levels are noted at 139.70, 137.00, and 135.00.
| R1: 148.60 | S1: 139.70 |
| R2: 149.80 | S2: 137.00 |
| R3: 151.20 | S3: 135.00 |
Gold edged lower to around $3,230 in Wednesday’s session, facing selling pressure after optimism over a U.S.-China trade breakthrough reduced safe-haven demand. The recent tariff agreement lifted broader market sentiment, keeping gold near its weekly lows.
However, softer U.S. inflation data raised expectations for potential Fed rate cuts, slightly supporting the non-yielding metal. Traders await a firm break below the $3,200 level for signs of deeper downside.
Gold sees resistance at $3,325, $3,360, and $3,440, while support is held at $3,235, $3,200, and $3,165.
| R1: 3325 | S1: 3235 |
| R2: 3360 | S2: 3200 |
| R3: 3440 | S3: 3165 |
GBP/USD hovered around 1.3300 during Wednesday’s Asian hours, holding onto prior gains of over 1%. Optimism over reduced U.S. tariffs on British goods offered some relief, but weak UK labor data and slowing wage growth continue to weigh on sentiment, fueling rate cut speculation. Traders now await Thursday’s key UK figures, with Q1 GDP expected to rise 0.6%.
If GBP/USD breaks above 1.3320, resistance lies at 1.3450 and 1.3550. Support is found at 1.3160, followed by 1.3000 and 1.2960.
| R1: 1.3320 | S1: 1.3160 |
| R2: 1.3450 | S2: 1.3000 |
| R3: 1.3550 | S3: 1.2960 |
Silver (XAG/USD) traded around $32.75 in Wednesday’s Asian session, down nearly 1% after Tuesday’s brief surge above $33. The earlier rally was fueled by easing trade tensions following a 90-day U.S.-China tariff truce, but gains faded as doubts linger over long-term resolution. Silver’s industrial demand outlook remains strong, especially in renewables, but investors are cautious ahead of U.S. CPI.
Resistance is seen at $33.80, then $34.20 and $34.85, while support is located at $32.00, $31.40, and $30.20.
| R1: 33.80 | S1: 32.00 |
| R2: 34.20 | S2: 31.40 |
| R3: 34.85 | S3: 30.20 |
The U.S. dollar strengthened on Wednesday, supported by a sharp rebound in consumer confidence and falling Treasury yields. EUR/USD dipped to 1.1310 despite an extension of the EU tariff deadline to July 9. USD/JPY climbed above 144.5 as bond market jitters and BOJ uncertainty weighed on the yen.
Detail Euro at One-Month High, Fiscal Worries Hit Dollar (05.27.2025)EUR/USD advanced toward $1.14 as U.S. fiscal concerns weighed on the dollar, while the yen touched a one-month high on inflation surprises and risk aversion.
Detail Gold Demand Returns as US Fiscal Outlook Clouds Sentiment (05.26.2025)The euro extended its recovery, nearing 1.1330, helped by muted European headlines and hopes for progress in U.S. trade talks. The Japanese yen broke below 144.00 as hawkish BoJ expectations supported gains.
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